KEYWORDS

Centralisation

Maintaining control by keeping authority at the senior levels of the organisation. --

Chain of command

The line through the hierarchy that shows who is responsible for whom from top to bottom of an organisation. --

Commission

An amount of money paid to an employee based on a percentage of the sales they have achieved; paid in addition to a basic salary. --

Contracts of employment

A legal document that sets out the terms and conditions of the job for the employer and the employee. --

Customer engagement

The relationship between the business and the customer that puts the customer's requirements at the centre of the operation to build brand loyalty. --

Decentralisation

Where authority is spread widely through the organisation. --

Delayering

The reorganisation of the organisation's employees so that there are fewer levels of management. --

Delegation

Allocating a task to someone who would not normally be responsible for it. --

Directors

The people who are elected by the shareholders to run the business on their behalf. --

Diseconomies of scale

When a business grows too large, leading to a possible increase in unit cost. --

Employees

Individuals who work full time or part time for the business; they have a contract of employment detailing their duties and rights. --

Employment law

Rulings that relate to the rights and responsibilities of people who work for a business; they affect the recruitment and selection process and how the business deals with its workers. --

Flat organisational structure

An organisational structure with a wide span of control and few levels of hierarchy (a short chain of command). --

Fringe benefits

Additional 'perks' that are in addition to a wage/salary; they are liable to income tax. --

Full time

Working all the usual hours required of an employee; usually 35 hours or more. --

Hierarchy

The management structure of a business/organisation showing the levels of responsibility. It is often shown as an organisation chart. --

Induction

Training given to a new employee when they start a new job; it provides information about the business, its operation and working practices. --

Job analysis

The process of determining what the job entails, including responsibilities and tasks. --

Job description

A summary of what the job entails, including job title, duties and who they are responsible to. --

Job share

A system where two employees choose to share a full time job; they receive the salary and benefits on a pro rata basis according to the full time hours that each works. --

Motivation

The reasons people are interested in and committed to their job. --

Off-the-job training

Employees are trained away from their job, at a college, training provider or the business' training centre. --

On-the-job training

Employees learn alongside experienced colleagues while they are doing the job. --

Organisational structures

The way in which the organisation is divided into levels of management, functions and responsibilities. --

Part time

Working only a proportion of the full time hours. --

Person specification

Identifies the requirements of the job holder, including qualifications, experience and skills. --

Recruitment

The process of hiring a new employee. --

Salary

A method of paying employees for their work; based on a fixed annual amount, normally paid monthly. --

Span of control

The number of people for whom a manager is directly responsible. --

Staff retention

Keeping staff once they have been employed. --

Styles of management

The methods used by those in leadership roles to achieve the most effective outcomes from the employees for whom they are responsible. --

Tall organisational structure

An organisational structure with a narrow span of control and many levels of hierarchy (a long chain of command). --

Training

Employees learn the skills and techniques needed to do the job or to prepare for a new role. --

Wage

A method of paying employees for their work based on an hourly, weekly or piece of work basis, usually paid weekly or monthly. --